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All of the rest of the water produced from said lands above described Is delivered to the Water Company by Second Party. The Water Company owns a water distribution system In the City of Las Vegas, Nevada, through which the Water Company, as a public utility, furnishes water to the residents of said city for municipal and domestic purposes. On March 30, 1929, First Party and Water Company entered Into a contract setting forth the terms and conditions upon which First Party agreed to transport and deliver into the distribution system of the Water Company at Las Vegas, Nevada, water produced from said water bearing lands which Water Company was entitled to appropriate and put to beneficial use. Conditiona have changed somewhat since said contract was made and it is the intention of the parties hereto to substitute this agreement for said agreement dated March 30, 1929 between First Party and Water Company. NOW THEREFORE, IT IS AGREED BY AND BETWEEN THE PARTIES HERETO AS FOLLOWS: Section I. Second Party shall use reasonable diligence to produce from said water bearing lands by means of the existing water production facilities located thereon all water which Second Party and Water Company can put to beneficial use not in excess of the amount thereof which both are entitled to appropriate and divert from said water bear­ing lands. In no event shaLL Second Party be required to produoe from said water bearing lands an amount of water exceeding that which in the opinion of Second Party will cause -3-